CleanSpark borrows 100 million USD against Bitcoin from Coinbase Prime

CleanSpark (Nasdaq: CLSK) has signed a credit agreement worth 100 million USD with Coinbase Prime, using the amount of Bitcoin held as collateral to expand operations without diluting shares. This information has helped CleanSpark's stock rise 5–6% in after-hours trading.

The loan will be allocated to strategic initiatives, including expanding the energy portfolio, increasing the scale of Bitcoin mining, and investing in high-performance computing capacity (HPC). CFO Gary A. Vecchiarelli emphasized that this is a step in line with the "non-dilutive growth" capital strategy, helping the company optimize existing assets and expand into the computing sector.

CEO Matt Schultz said CleanSpark is focused on developing HPC and AI centers, leveraging data center infrastructure near major urban areas to both accelerate mining and optimize assets. This reflects the general trend as many Bitcoin mining companies are diversifying into high energy consumption computing.

Brett Tejpaul, the Director of Institutional at Coinbase, affirmed that this agreement demonstrates institutional confidence in CleanSpark's model, while also showcasing the increasingly significant role of Bitcoin as collateral in the traditional financial system.

Analysts assess this as a confirmation of CleanSpark's "Infrastructure First" strategy, prioritizing long-term efficiency over short-term liquidity. Using Bitcoin as collateral helps the company avoid fluctuations in the stock market and maintain control over mining assets, unlike many competitors who often have to sell assets or issue additional shares.